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Base metal skarns have provided most of South KoreaÆs Pb-Zn production since the end of the Korean War, with the bulk of production coming from the Yeonwha group of mines. Currently only the Kumho Zn-Pb mine remains in production, while magnetite skarns are mined as iron ore at the old Yomisan and Ulsan base metal deposits. Base metal skarns within Korea fall into two groups; those hosted in Cambro-Ordovician limestone sequences, situated mainly in sub-basins in the northeast of the peninsula and those hosted within carbonate volcaniclastics of the Cretaceous Gyeongsang Basin, in the southeast. Sulphide mineralisation is dominated by sphalerite, lesser galena, arsenopyrite and pyrrhotite, with subordinate chalcopyrite and molybdenite with Ag-Co credits. Skarns are composed of pyroxene-clinopyroxene-garnet-carbonate-quartz and magnetite, grading into silica-chlorite hornfels. Most of the significant deposits display both pipe-like and stratabound morphology. In the Hwanggang district, a zoned distribution of Ordovician carbonate hosted, polymetallic Mo-W and Zn-Pb-Cu-Ag base metal deposits is observed around the margin of a Cretaceous granite intrusion. Similar polymetallic zoning is recognised in the Sangdong district, where deposits include Sangdong (W), Abisan (Au-As) and Yomisan Northwest (Zn-Mo) and Yomisan Southeast (Zn-Cu-Co), hosted in Ordovician carbonates in proximity to Cretaceous quartz porphyry intrusives. The Taebaeksan district hosts the largest deposits at the Yeonwha group of mines. Although production ceased in 1993, significant resources remain, hosted in Ordovician limestone and dolomite that have been intruded by Cretaceous quartz porphyry dykes. Deposits in the Cretaceous Gyeongsang Basin consist of bedding concordant, vertically stacked base metal skarn mineralisation at several stratigraphic horizons, connected by carbonate-base metal veins with a pipe-like geometry. Evidence such as massive sulphide layers and restricted proximal carbonates suggest mineralisation was initially partly syn-depositional, with both base metals and carbonate venting onto a lake floor, being reconstituted to skarns by later magmatic activity. Skarn mineralisation is universally closely associated with the Cretaceous Bulgugsa Series acid intrusive activity. A common intrusive-structural relationship is recognised at some deposits, with bedding plane and imbricate thrust faulting, introducing felsic intrusives as sills. These intrusions probably introduced the base metals, carbonate, boron, heat and silica, which metasomatically reconstituted the carbonate lithologies to form skarn assemblages. The Korean base metal skarn deposits are regarded as Zn-Pb chimney-manto skarns and display similarities to the Mexican manto type deposits.

Jan 1, 1999

By B Manda, K L. Sandvik, K Musiwa

Mining and processing of pyrite ore at Iron Duke Mine, north east of Zimbabwe, generates large quantities of acidic mine water as a result of the oxidation of iron sulfides on exposure to air and water used in the drilling and blasting operations. The acid mine drainage (AMD) contains elevated levels of dissolved Fe, Al, Mn and sulfate and has characteristic pH values ranging from about 0.50 to 3.00. Handling and disposal of such a drainage places significant impacts on the economics of the mining operation due to the corrosive nature of the drainage on infrastructure, the limitations placed on water reuse and discharge to the environment under a new law governing effluent discharge. Treated sludge at Iron Duke is chemically unstable, changing pH from ~7 to ~3 within four days after deposition in the evaporation ponds. The effluent does not meet the permitted level of neutral pH, 500 mg/l sulfate and less than 2000 mg/l total dissolved solids. Excessive acid seepage from the evaporation ponds has resulted in contamination of the ground water below the ponds area, which shows high mean annual levels of iron (368.67 mg/l), sulfate (1702.89 mg/l) and low pH (2.86) in addition to other pollutants. This poor quality seepage infiltrates into the nearby Yellow Jacket River, contaminating the public water source. Furthermore, a deterioration of the land area and vegetation adjacent to the tailings dump is also observed. Understanding the controls on the neutralisation of acidic drainage and long-term sludge stability after placement in evaporation ponds is essential to minimise costs of closure requirements and for the protection of environment and human health. This study examined the effects of the master variables pH, redox potential, acidity and alkalinity on acid neutralisation. The results indicate that ferrous hydroxides are not as stable as ferric hydroxides and that proper oxidation of iron also leads to better sludge stability, higher treatment efficiency and a manageable sludge viscosity. Metal hydrolysis and secondary mineral formation at the evaporation ponds under a wide range of pH and redox conditions is responsible for equilibrium shifts in metal reactions, resulting in high potential for metal leaching and mobility. Mechanisms of metal attenuation are also discussed.

Jan 1, 2006

By Snowden D. V, Standing C. A, Ryba A, Bywater A

McKinnons open pit gold mine, located within the Cobar Basin in New South Wales, is characterised by complex mineralisation controlled by the intersection of steep faults in the hinge zone of an anticline. Resource estimation using indicator variography and indicator kriging was based on RC drilling on 25 in sections together with grade control RC drilling on 12 in by 12 in and 6 m by 6 in patterns. Rigorous sampling and checking procedures were used to verify the reliability of the drill hole data. Blast hole data was used to assist grade control in defining ore block boundaries.

Jan 1, 1997

By M Norbert, P Mok

The mainline running tunnels for Legacy Way comprise of two-lane tunnel boring machines (TBM) driven tunnels. The length of the TBM tunnel section is approximately 4.2 km. The TBMs employed are double shield TBMs. Typical support to the segment ring while advancing a double shield TBM comprises of filling the excavated annulus between the ground and the segmental lining by injecting pea gravel, followed with primary grouting to fill between the pea gravel some distance behind the excavated face. The methodology adopted for the Legacy Way project, however, did not follow this typical approach, instead, two component grouting of the annulus was carried out.Where the annulus is typically filled with pea gravel, support is provided to the segment ring very close to the end of the tail shield, whereas in the case of two component grout this is not practical as the risk of grouting in the tail shield is high. The staging of the two component grout injection, the grout early age strength properties become key issues in ensuring that the segment ring leaving the TBM tail shield is stable and can support the necessary external loads.Two-component grout is a grout with two components, cementitious grout (component A) and accelerator (component B), commonly adopted for earth pressure balance (EPB) TBM. The grout reaches its thixotropic state in a matter of seconds providing initial support for the segment rings. Manual injection of two component grout to fill the bore annulus was carried out in stages leaving a portion of the segment rings unsupported. Ring stability during TBM advance was provided by a combination of ram thrust and the segment circumferential joint shear connectors.This paper outlines the design considerations such as rock load derivation by probabilistic analysis carried out utilising the software JBlock, 3D finite element analyses using the software Strand7 for ring stability and the testing and back analysis of the shear connector load bearing behaviour. In particular, the actual available capacity of the shear connectors against their published capacity by supplier was discussed.CITATION:Mok, P and Norbert, M, 2014. Tunnel boring machine excavation stability – double shield tunnel boring machine advance with partially grouted annulus, in Proceedings 15th Australasian Tunnelling Conference 2014 , pp 51–62 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Sep 17, 2014

By B Besa, E K. Chanda

It has long been recognised that narrow vein mining needs innovative approaches to mine access and mining methods in order to improve the economics of this vital part of the mining industry. The mining equipment used currently requires large openings in narrow vein-type deposits making mining operations uneconomical. In view of this and other shortcomings of the current mining practices, a study was initiated to investigate the potential of using low profile electric loader with mounted conveyor in conjunction with the electric monorail haulage system (EMTS) to load and haul the blasted material, particularly in decline development and main haulages. Computer simulation based on the General Purpose Simulation System/Henrikson (GPSS/H) is used to model the system and evaluate its performance. The results are compared with those for conventional mining using trucks and loaders. The EMTS provides competitive haulage rates in substantially smaller excavations than is currently achievable. According to simulation results, the electric loader in conjunction with the EMTS had the same number of blasts as the conventional system and hence the same advance rate of 3.33 m per 12 hour shift. Furthermore, the total drill-blast-load-haul cycle time was less than the conventional system by one hour.CITATION:Besa, B and Chanda, E K, 2012. Evaluation of low profile electric loader in conjunction with electric monorail haulage system in narrow vein mining, in Proceedings Narrow Vein Mining 2012 , pp 221-228 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Mar 26, 2012

By S A. Ravishankar, W Perez

Flotation is one of the main concentration processes to purify kaolin clay via the removal of naturally occurring impurity minerals containing Ti and Fe. Currently, there are two types of collector chemistries used in the industry to float coloured impurity minerals. These are traditional tall oil fatty acids (TOFA) and specialty hydroxamate (AHX) based collectors. AHX based collectors have long been known to be the most selective collectors to float Ti and Fe based coloured impurity minerals (CIMs) as compared to TOFA based systems. AHX based collectors provide, not only improved selectivity and simplified process, but also more importantly, make it possible to treat certain kaolin resources that do not respond to standard TOFA systems. However, the relatively higher cost of straight AHX collectors has restricted broader application of these collectors in kaolin clay and other oxide flotation applications for a long time. Recent technological advancements, in both making and formulating AHX products more economically, increased the usage of these collectors in kaolin applications. Modified AHX products offer more economical alternatives and process options to provide high purity kaolin clay products for specialty applications based on cost-performance criteria. In this paper, the flotation performance of a series of newly developed AHX formulations is provided along with the characteristics of AHX flotation in general. In addition, flotation performance of earlier AHX collectors is provided based on published literature as background data.

Jan 1, 2005

By Stephenson D. B, Burgess J, Burgess F. L, Marshall S. H

A new high intensity flotation process 'FASTFLOT' is explained and its theoretical advantages compared with other flotation systems are discussed. The results of initial FASTFLOT testing on the zinc roughing circuit at Pasminco Mining, Broken Hill South concentrator are presented and compared to recent plant data. The comparison suggests that on roughing duties, the FASTFLOT process yields superior concentrate grade while requiring less than one third the residence time of a conventional mechanical cell plant. Strategies for FASTFLOT deployment are also presented.

Jan 1, 1994

By A Woodley, N C. Kunz

A mine site water balance is important for communicating information to interested stakeholders, for reporting on water performance and for anticipating and mitigating water-related risks through water use/demand forecasting. Gaining accuracy over the water balance is therefore crucial for sites to achieve best practice water management and to maintain their social license to operate. For sites that are located in high rainfall environments the water received to storage dams through run-off can represent a large proportion of the overall inputs to site; inaccuracies in these flows can therefore lead to inaccuracies in the overall site water balance.Hydrological models that estimate run-off flows are often incorporated into simulation models used for water use/demand forecasting. The Australian Water Balance Model (AWBM) is one example that has been widely applied in the Australian context. However, the calibration of AWBM in a mining context can be challenging. Through a detailed case study, we outline an approach that was used to calibrate and validate AWBM at a mine site. Commencing with a data set of monitored dam levels, a mass balance approach was used to generate an observed run-off sequence. By incorporating a portion of this observed data set into the calibration routine, we achieved a closer fit between the observed versus simulated data set compared with the base case. We conclude by highlighting opportunities for future research to improve the calibration fit through improving the quality of the input data set. This will ultimately lead to better models for run-off prediction and thereby improve the accuracy of mine site water balances.CITATION:Kunz, N C and Woodley, A, 2013. Improving the accuracy of mine site water balances through improved estimation of run-off volumes, in Proceedings Water in Mining 2013 , pp 267-272 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Nov 26, 2013

By E L. Kotova

Completeness of extraction of a mineral from ore depends on many reasons. First of all it is a function of quality of disintegration of ore. It is supposed that two basic factors: character of structure and texture of the ore aggregate and a disintegration technique influence the quality of the mineral aggregate destruction, æopeningÆ of its internal boundaries. In this paper, the problem of technological mineralogy from the point of view of genesis of the mineral aggregate, its typomorphical features and methods of their quantitative description are discussed. The purpose of this research is to provide information for technologists. It should enable the development of a rational flexible scheme of disintegration of ore with full extraction of a useful component, without its losses and without unnecessary expenses of energy. For achievement of this purpose the mineralogical information should have ½number and a measure+. By the authors, the technique of the quantitative analysis of fabric of the mineral aggregate based on several models û thermodynamic, crystallographic and geometrical is offered and discussed. The leading role in the quantitative analysis of a fabric of ore belongs to internal bounders. But internal bounders of the mineral aggregate by bounders or faces of the mineral individuals or mineral grains are formed. Their geometry, orientation concerning own (mineral grain) crystallographic lattices, orientation and distribution in space of the ore aggregate are proportional to the energy accumulated at origin and the further growth. These characteristics of mineral individuals are consequences of conditions of their formation. That is why the named triad of models is used. From crystallography it is known that faces of different stability and mobility form borders of crystals. They also contain different quantity of energy. Mineral grains also are faceted by different energy borders. They form intergrowths with each other according to a principle of balance or unbalance. That is why in addition to traditional parameters of the description of a fabric of the mineral aggregate (mode and grainmetrical composition) it is necessary to add new. For example, length and the square of intergrowthing bounders of mineral individuals differentiated (in couples), crystallographic symbols of borders, their roughness and so forth. Consequently, solving a problem of the geometrical characteristic of borders, we define also its power characteristic. In this paper experience of application of our technology in studying ores of one of deposits of Urals Mountains is presented. For realisation of these types of the analysis technologies of measurement, the program of calculation and the devices, which are carrying out the analysis in a semi-automatic mode, are possessed. Structure and texture of rock or ore aggregate reflect its formation and transformation conditions. It is important to understand that disintegration energy cannot be more than aggregation energy, the energy of intergrowths formation. The square and orientation of mineral individuals borders vary at pressures or stresses of mineral aggregate evolution. These phenomena often cause selective increase in the square of borders at constant average grain size, ie the granulation. Granulation presents the increase in quantity of mineral individuals while their modal share remains constant. At the same time their average mineral grains size. Some mineral individuals increase in size at increased pressure. When lithostatic or lateral pressure drops the majority of mineral grains increases in volume at the cost of intersticial or film solutions or fine grains. These are only special examples of the ontogenesis of the mineral aggregate. They illustrate our statement that all changes in fabric of the mineral aggregate are a reaction on varying external (ie geological) conditions. It is possible to consider that structurisation of totality of mineral individuals as a whole is a process of adaptation of the mineral aggregate, which forms and exists in varying force and energy fields. Differential and integrated geometry of total internal boundaries of the mineral aggregate serves as adaptation mechanism of the mineral grains system. Boundaries form intergrowths of the mineral aggregate. Thus, it is possible to consider that the most informative parameters of the stereometric analysis for restoration of the ontogenesis of the mineral aggregate are the following. First of all, it is a quantitative estimation of the volumetric shape of the ore mineral in crystallographic coordinates, a total area of borders of all mineral grains in the aggregate, the specific square of their boundaries, the specific square of intergrowth boundaries of the ore mineral separately with grains of each minerals of the matrix of the mineral aggregate as well as traditional grainsmetric and modal composition. For realisation of these types of the analysis technologies of measurement, the program of calculation and the devices that are carrying out the analysis in a semi-automatic mode are possessed.

Jan 1, 2008

By C Li

Removal of gangue minerals from ilmenite concentrates can be accomplished by relatively low temperature roasting in controlled gas atmospheres to selectively enhance the magnetic separation characteristics of the ilmenite. At roasting temperatures below 800¦C the magnetising reactions are often not consistent with phase equilibria considerations. Metastable phases can nucleate and control the roasting products. In weathered ilmenites the phase assemblages and microstructures in the altered ilmenite grains can influence the roasting reactions. In this paper we give an overview of the phase chemistry of chemically weathered ilmenites and of metastable phases formed by low temperature roasting. We also report the results of roast experiments conducted in a neutral gas atmosphere. Major increases in magnetic properties after short roasting times at low temperatures were obtained for a range of ilmenite concentrates. For example heating a secondary ilmenite concentrate from Western Australia for 15 minutes in nitrogen at 600¦C gave an increase in the three kilogauss magnetic fraction from three to 92 wt per cent. The solid state phase changes accompanying the inert atmosphere roasts were characterised by combining elemental analyses with quantitative phase analyses of the ilmenite concentrates and their roast products. It was found that the phase reaction that is principally responsible for the increase in the magnetic properties of weathered ilmenites involves a transformation of disordered ferrous-containing pseudorutile to an ordered ilmenite-hematite solid solution containing typically ten to 35 mole per cent of the hematite component. Examples are given of the application of the inert atmosphere roast to effect separations of ilmenite from gangue minerals.

Jan 1, 2001

By J Hutchings

An essential component to the management of any process is the measurement of key parameters, used to monitor, control, and provide the feedback necessary for improvement. This paper discusses how data collection and analysis can provide a better understanding of the blasting process, as well as additional control and improved outcomes.The drill and blast process involves the generation and use of information at a number of levels. Comparison of historical parameters and results provides a starting point for the development of ongoing blast designs and a baseline against which future results can be compared. The collection of data during implementation provides a quality assurance/quality control (QA/QC) function where potential defects (such as under-drilled or over-charged holes) can be rectified prior to firing. Actual quantities and production rates allow the development of realistic plans and schedules, rather than using inaccurate estimates and targets that lead to unscheduled changes to equipment paths. Over?the past several years there have been a number of technological advances in data collection technology. Drill monitoring instrumentation on blasthole drills provides location information and feedback on rock properties as drilling occurs. Hand held ‘data logger’ technology has also overcome the challenges of working on the bench, such that blasthole measurements can be collected and forwarded directly to the explosive truck. Mine sites are becoming wireless network-enabled allowing the seamless data transfer from the field back to the office, in near real time, as that information is collected. Great strides have also been made in the development of drill and blast software systems which are more user friendly, and yet provide far greater capability to manage the quantity of data generated. The blasting process is critical to the overall mining process and the delivery of a successful blast outcome requires that the blasting process be ‘in control’. The measurement of key parameters can provide the data with which to measure and maintain control of blasting, and allows the validation of performance improvement measures and identification of improvement opportunities.

Nov 8, 2011

By G Le Juge, K Waldock

The current suite of bulk mining explosives has been available to the industry for over 20 years. The flexibility and performance of ammonium nitrate based emulsion blend explosives were accepted by the mining industry in the early 1980s. These water resistant explosives rapidly displaced the water gels and slurries developed during the previous two decades. However, since the 1980s there has been no equivalent step change to the basic formulation or application of bulk explosives, although there has been a continuous process of refinement with respect to stability, handling characteristics and most significantly, cost. In the 1980s explosives supply contracts were awarded based on technical evaluations, usually accompanied by field trials. Technical personnel from both mining companies and explosives suppliers dominated the negotiations and there was a strong focus on explosive energy and blasting requirements. Today, explosives from alternative suppliers are difficult to differentiate on the basis of energy so the focus has shifted to aspects of service and price û bulk mining explosives are now largely treated as a commodity and the negotiations are dominated by commercial personnel. Commercial pressures from large mining companies have seen a substantial reduction in the real price of explosives. However, this has come at a cost. In order to reduce manufacturing costs, emulsion formulations have changed. In general they are not only cheaper, but also less energetic. Powder factors have had to increase to achieve the same blasting results, especially in hard ground. It is debatable whether the mining companies have achieved all of the economies they were seeking. This paper discusses these issues and argues that the mining industry would benefit from taking a more technically driven approach to meeting their blasting requirements. Recent trends towards more open contracts between the mining companies and their suppliers can be extended to explosives. To achieve this, mining companies will need to acquire sufficient technical knowledge to take a more pro-active approach to specify the characteristics of the explosives required to maximise the economic performance of their operations.

Jan 1, 2004

By T Raynlyn, S Hapugoda, V Nunna

The predominant phase in most Marra Mamba, channel iron deposits and detrital iron ore deposits is goethite. Goethite abundant iron ore fines tend to have complex mineralogical associations and fine dissemination of gangue material. These ores are typically challenging to process using conventional beneficiation methods. With declining ore grades, there is a need to develop new processing routes for low-grade goethitic ores/fines.Comparative process amenability studies were carried out using two different processing options to recover iron with low alumina and silica content from a low-grade goethite-abundant iron ore fines (-2 mm) sample from the Pilbara region of Western Australia. The first option involved dehydroxylation at 350°C and 400°C, followed by grinding dehydroxylated samples to 100 per cent passing 106 µm and magnetic separation. The second option was processing raw sample by gravity separation using a Floatex density separator. The performances of the two processes are discussed in terms of the iron grade-recovery responses, and an optimal processing route is proposed based on the findings from these tests.CITATION:Nunna, V, Hapugoda, S and Raynlyn, T, 2015. Process amenability studies on goethite-abundant iron ore fines, in Proceedings Iron Ore 2015, pp 165–174 (The Australasian Institute of Mining and Metallurgy: Melbourne).

Jul 13, 2015

The radiolarian biostratigraphy of the western part of the Gympie Province, north of Brisbane, has been examined. This part of the province comprises mainly the Amamoor beds and the Gympie Group, which have been assigned Permian ages on the basis of localised marine macrofossils. This study has shown that the Amamoor beds and the Gympie Group include older strata than previously supposed.The Amamoor beds consist of at least two tectonic units, namely a melange unit (unit A) and a well stratified sequence of sedimentary rocks (unit B). The former unit, regarded as an accretionary subduction complex, contains chert blocks ranging from Late Devonian to Earliest Carboniferous, while the latter unit yields Permian radiolarians. Latest Devonian to Earliest Carboniferous bedded cherts occur in sequence previously mapped as Amamoor beds and Gympie Group.

Jan 1, 1990

By H Park, L Wang

Froth flotation is one of the most widely used beneficiation processes for fine and ultrafine coals and minerals. Maintaining optimal metallurgical performance in industrial flotation operation is still a challenging task owing to the lack of an effective tool to diagnose the flotation performance in realtime. For this purpose, a number of flotation performance monitoring systems with different working principles have been developed to provide instant feedback for process control and optimisation. In this paper, for the first time, five different flotation performance monitoring systems were systematically compared through an on-site trial in a coking coal flotation plant in Queensland, Australia. The monitoring systems were used to measure (i) gas holdup, (ii) overflowing froth velocity, (iii) overflowing froth height, (iv) air recovery and (v) drag force exerted by overflowing froth, in an industrial flotation column and the outputs of these systems were collected simultaneously at a wide range of operating conditions. For each monitoring system, the best regression model describing the correlation between the system output and the flotation performance was selected from various regression models (eg linear, quadratic, power-law and logarithmic) using the Akaike information criterion (AIC). A comparison of the coefficient of determination (R2 ), residual sum of squares (RSS) and measuring accuracy at 95 per cent confidence level of the best regression models of these monitoring systems suggested that the drag sensor outperformed the other systems at a wide range of flotation operating conditions. The superior performance of the drag sensor was attributed to its distinctive design that enabled intimate sensing of variation of the overflowing froth properties. Furthermore, the drag sensor had the ability to monitor feed ash content variation when the other operation variables were set almost constant.

Aug 24, 2022

By Bell I. F

In 1985, ZC Mines (now Pasminco South) had been unprofitable for some years due to a combination of high operating costs, low metal prices, low head grade and an aging and inadequate mining infrastructure. However, the resource of metal in the ground was still of world class, even after some 80 years of mining. A major study, which was to be of two years duration, was therefore commenced to establish a practical and profitable long term mining strategy and to cost the infrastructure options needed for its support and thus form the justification for a capital expenditure program to take the mine profitably into the 21st century and its second century of operation. This paper discusses the rationale behind the methodology adopted and the nature of the results achieved in one aspect of the study - the determination of the mineable resource and the relationship between the head grade/quantity of the economically mineable resource and the variables of cut-off grade, cost structure, annual production rate and metal prices/exchange rates. The basis of the study was the designing of some 5000 scopes to mine out the entire resource for a range of cut- off grades and the assembly of the detailed physical data thus obtained in a stope-by-stope data base for financial and other analysis. Those scopes which were shown to be economically mineable were then scheduled for two optimum annual production/cut-off grade/metal price combinations to provide life-of-mine cost and value of production cash flows.

Jan 1, 1992

Scheduling mine development and underground construction has been the bane of most mine managersÆ lives at one time or another. Even though scheduling software has developed significantly over the last 20 years, mining projects continue to take far longer than expected to complete. It would appear that possession of a gleaming 1000 activity bar chart generated by the latest project management software and plotted in multiple colours offers no guarantee at all that any of those 1000 activities will be completed on time, let alone the project as a whole. The author has earned his æmasters in disastersÆ with more than one project running over time and budget. This paper describes some of his experiences in scheduling major mine development and construction projects and the lessons he has learnt along the way. In particular, the paper examines a range of key issues that mine schedulers must take into account when planning mining projects. The paper also examines the development of scheduling software and particular advance rates used in scheduling mine development projects in Australia.

Jan 1, 2000

By S G. Gemell

"The financial model is an integral component of any project evaluation based on mineral resources, ore reserves and (at least internally) exploration targets. Given the unity of purpose for preparing financial models for project evaluation purposes, the diversity of both format and content of the finalised models is surprising. Many models are prepared by staff or consultants who are comfortable with a particular format that may be used for other purposes, such as budget preparation or financial reporting. It is natural in these situations that the practitioner will take these models and adapt them to the purpose. The end result may or may not succeed in providing a clear, accurate and sufficiently detailed view of the project’s economic viability.When preparing a model, the practitioner should be cognisant of the interpretation and review, or audit, process. The auditor may be a consultant or employee of a bank, potential equity provider or of the project sponsor itself. Depending upon the scale of the project and the level of participation of the entity that the auditor represents, the financial model will be interrogated more or less rigorously. In any event, the end user will require the model to permit easy change of inputs and will wish to confirm that such change is appropriately and thoroughly transmitted throughout.Accordingly, there are some ‘dos and don’ts’ that can be readily applied in the creation of the financial model that will greatly assist the end user, not just in the change of inputs, but also in reviewing the model’s integrity. The less time and effort required by an auditor in this regard is reflected directly in the cost of the review process.CITATION:Gemell, S G, 2016. Financial modelling with the auditor in mind, in Proceedings Project Evaluation 2016, pp 172–180 (The Australasian Institute of Mining and Metallurgy: Melbourne)."

Mar 8, 2016

By Shillabeer J

Paste backfill has been adopted by many underground mines in North America and a growing number elsewhere. Paste offers a number of advantages. This paper suggests wider applications of paste technology to surface tailings disposal and water management. Advantages include improved overall stability, potentially easier permitting, smaller water inventory and earlier reclamation. It may be feasible to use the same plant to prepare backfill and to dispose of surplus tailings. Example cost models are given to illustrate potential applications.

Jan 1, 1998

By A Weeks an, R Bertinshaw, S Khosrowshahi

Good mining is central to any approach to value tracking. Good mining occurs where the ore is correctly delineated, measured and fed to the mill. This process is usually referred to as grade control, ore control or quality control. There are now ways to measure the efficiency of this process, such as by using conditional simulation, and a brief synopsis is presented. Resource estimation is the foundation of ore reserve estimation, which should enable useful prediction of the expected metal to be recovered from mining and milling. Significant improvements have resulted from applying new techniques such as the Chain of Mining (CoM) method, which models the mining process. Again, a brief synopsis is presented. Tracking value from the mine through the mill implies a linear sequence of processes that can be modelled. Reality is more complex and there are error components, feedback loops and breaks in the Chain of Value. Modelling the total production process in a number of operations is considered, including the various impacts on producing reconciliations. Procedures are also discussed for handling a number of difficult issues such as: different data supports, stockpiling strategies, blending from multiple ore sources, blast movement and underground ore extraction.

Jan 1, 2002